Guan Chong may soon move higher to test the resistance level RM2.35. The RSI indicator has crossed the 50% threshold, indicating that the momentum will break above the resistance and move towards the short-term target prices of RM2.45 followed by RM2.65. The downside support is anticipated at RM2.18, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on breakout RM2.35
Target: RM2.45, RM2.65 (time frame: 2-4 weeks)
Exit: RM2.18

Source: AmInvest Research - 23 Apr 2020